Traders shocked by $712m CVA loss at StanChart
Bank’s new methodology has been used by some rivals for more than a decade
Derivatives traders have been shocked by a $712 million revaluation loss at Standard Chartered after the bank changed the way it calculates counterparty risk – a switch that lagged the rest of the industry by as much as a decade.
A spokesperson for the bank says Standard Chartered's predominantly emerging markets portfolio lacked the data that would have allowed it to change its approach to
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